@techreport{b7edf340673d42b09fd117b3c19123cf,
title = "The Economic Value of Habits in Household Production: A Field Experiment",
abstract = "People are prone to habits but how important are they for economic outcomes? In a randomized field experiment we compare two treatments with identical economic incentives to adjust a range of household production activities. Treatments only differ in the extent to which they allow households to adjust habits relevant for these activities. We utilize smart-metered hourly power consumption to unobtrusively measure treatment effects. We find that preventing habits from being adjusted reduces consumer surplus by 76% suggesting a substantial economic value of habits.",
author = "Ioana Bejan and Jensen, {Carsten Lynge} and Andersen, {Laura M{\o}rch} and Hansen, {Lars G{\aa}rn}",
year = "2018",
language = "English",
series = "IFRO Working Paper ",
number = "2018/01",
publisher = "Department of Food and Resource Economics, University of Copenhagen",
type = "WorkingPaper",
institution = "Department of Food and Resource Economics, University of Copenhagen",
}